Don't panic, says Chidambaram as Sensex crashes four percent

New Delhi: Terming the Indian equity sell-off that saw the Sensex crash nearly four percent as a result of the US data reaction, Finance Minister P Chidambaram Friday urged investors to maintain calm."I think this

IANS [ Updated: August 16, 2013 20:58 IST ]

don t panic says chidambaram as sensex crashes four percent

New Delhi: Terming the Indian equity sell-off that saw the Sensex crash nearly four percent as a result of the US data reaction, Finance Minister P Chidambaram Friday urged investors to maintain calm.

"I think this is time for calm. This is time for reflection. And let's see what happens next week," Chidambaram told reporters here while reacting to the huge sell-off in the markets.

The finance minister said stock markets and the rupee were reacting on the US data and such over-reaction was unwarranted.

"When calm is restored in the market, people will begin to understand India market indicators must basically reflect Indian market conditions. They should not be so sensitive to data coming out of the US," Chidambaram said.

Chidambaram's reaction came after the rupee slipped below 62 against the dollar for the first time and the key indices of the stock markets crashed by nearly four percent.